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Mt. Vernon Republican (Mount Vernon, Ohio : 1854), 1856-01-15

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. .. - "J 'if , VOL. II, MOUNT VERNON, OHIO, TUESDAY MORNING, JANUARY 15, 1856. NO. 9. v li mm riiL Kvwivw J. PRESIDENT'S MESSAGE Fellow cithens of the Senate and ' of the Houst of Representatives: ' The constitution of the United Slates provides that Congress shall assemble an nually on the first Monday of December, and it has been usual for the President to make no communication of a publio char' acter to the Senate and House of llepre sentatives until advised of their readiness to receive it. I have deferred this usage until the close of the first month of the session, but my convictions of duty will not' permit me longer to postpone the dis charge ot the obligation enjoined by the constitution upon the President "to give to the Congress information of tho state of the Union, and recommend to their consideration such measures as he shall judge necessary and expedient." It is matter of congratulation that the Kepublio is tranquilly advancing in a ca reer of prosperity and peace. FOEEIQN RELATIONS. CENTRAL AMERICA. Whilst relations of amity continue to ex ist between the United States and all foreign powers, with some of them grave questions are depending, which may require the consideration of Congress. Of such questions the moet important is that, which has arisen out of the negotiations with Great Britain in reference to Central America. . By the convention concluded between the two governments on the 19th of April, 1850, both parties covenanted, that "neither will ever" "occupy, or fortify, or colonize, or assume or exercise any dominion over, Nicaragua, Costa Rica, the Mosquito Coast, or any part of Central America. It was the undoubted understanding of the United States, in making this treaty, that all the present States of the former republic of Central America, and the entire territory of each, would thenceforth enjoy complete independence; and that both contracting panics engaged equally, and to the same extent, for the present and for the future; that if either then had any claim of right in Central America, such claim, and all occupation or authority under it, were unreservedly relinquished by the slipu'alions of the convention; and that no dominion was thereafter to be exercised or assumed in any part of Central America, by Great Britain or the United States. ' This government consented to restrictions in regard to a region of country, wherein we had specific and peculiar intes-ests, only upon the conviction that the like restrictions were in the same sense obligatory on Great Britain, But for this understanding of the force and effect of the convention, it would never have been concluded by us. ' So clear was this understanding on the part of the United Stattcs, that, in correspondence contemporaneous with the ratification of the convention, it was distinctly expressed, that the mutual covenants of non-occupation were not intended to apply to the British i stablishment at the Balize. The qualification is to be ascribed to the fact, that, in virtue of successive treaties with previous sovereigns of the country, Great Britain bad obtained a concession of the right to cut mahogany or dye-woods at the Balize, but with positive exclusion of all domain or sovereignty; and thus it confirms the natural construction and understood import of the treaty as to all the rest of the region to which the stipulations applied. It. however, became apparent, at an early day after entering upon the discharge of my present functions, that Great Britain stil continued in the exercise or assertion of large authority in all that part of Central America commonly called the Mosquito coast, and covering the entire length of the State of Nicaragua, and a part of Costa Rica; that she regarded the Balize as Ler absolute domain, and was gradually extending its limits at the expense of the State of Honduras; and that she had formally colonized a considerable insular group known as the Bay Islands, and belonging, of right, to that State. All these acts or pretensions of Great Britain, being contrary to the rights of the States of Central America, and the manifest tenor of her stipulations with the United States, as understood by this Government, have been made the subject of negotiation through the American Minister in London. I transmit herewith the instructions to him on the subject, and the correspondence between him and the British Secretary for Foreign Affairs, by which you will perceive that the two governments differ widely and irreconcilesbly as to the construction of the convention, and its ef- ' feet on their respective relations to Central America. Great Britain so construes the Convention, as to maintain unchanged all her pre- - vious pretensions over the Mosquito coast, ' and in different parts of Central America. , These pretensions, as to the Mosquito coast, are founded on the assumption of . political relation between Urcat Britain ana the remnant of a tribe of Indians on that -. coast, entered into at a lime when the whole country was a colonial possession of Spain, it cannot be successfully eontro-verted, thatby the pnbllo law of Europe , and America, no possible act of such Indians or their predecessors could confer on Great Britain any political rights. Great Britain does not allege the assent of Spain as the origin of her claims on the ' Mosquito coast. ' She has, on the contra-" Vf, by repeated and successive treaties, 'j renounced and relinquished all pretensions of her own, and recognhed the full and 't sovereign rights of Spain In the. most un-.", equivocal terms. Yet these pretensions, ;. so without solid foundation in the begin- ning, and thus repeatedly abjured, were, ''. ' at a recent period, revived by Great Brit-' ' ain against the Central American States, ;'.' the legitimate successors to all the ancient "' jurisdiction of Spain in that region. They j., were first applied only to a defined part of rthe coast of Nicaragua, afterwards to the - whole of its Atlantic coast, and lastly to a ' part of the cOsst of Costa Rica; and they ' are bow reasserted to this extent, notwith-"; standing engagements to the Uni'ed 8tates. . On the eastern coast of Nicaragua and , r,::'?i i.'r,"-i''. i'-:'.-.'.i i.-i;'-. 1 Costa Rica, the interference of Great Brit ain, though exerted at one time in the form of military occupation of the port of can junn aei none, then in tbe peaceful possession of the appropriate authorities of tne (Jentral American States, is now presented by her as the rightful exercise of a protectorship over the Mosquito tribe of Indians. But the establishment at the Balize, now reaching far beyond its treaty limits into the State of Honduras, and that of the Bay Islands, appertaining of right to the same State, are as distinctly colonial governments as those of Jamaica or Canada, and therefore contrary to the very letter as well as the spirit of the convention with the United States, as it was at the time of ratification, and now is, understood by this government. The interpretation which the British government, thus in assertion and act, persists in ascribing to the convention, entirely changes its character. While it holds us to all our obligations, it in a great measure releases Great Britain from those, which constituted the consideration of this government for entering into the Convention. It is impossible, in my judgment, for the United States to acquiesce in such a construction of the respective relations of the two governments to Central America.To a renewed call by this government upon Great Britain, to abide by, and carry into euect, tne stipulations ot tne convention according to its obvious import, by withdrawing from the possession or coloni zation of portions of the Central American States of Honduras, Nicaragua, and Costa Rica, the British Government has at length replied, affirming that the operation of the treaty is prospective only, and did not require Great Britain to abandon or contrast any possessions held by her in Central A- merica at the date ot its conclusion. This reply substitutes a partial issue, in the place of the general one presented by the United States. The British government passes over the question of the rights of Great Britain, real or supposed, in Cen tral America, and assumes that she had such rights at the date of the treaty, and that (hose rights comprehended the protectorship of the Mosquito Indians, the extended jurisdiction and limits of the Balize, and the colony of the Bay Islands, and thereupon proceeds by implication to infer, that, if the stipulations of the treaty be merely future in effect, Great Britain miy still continue to hold the contest ed portions of Central America. The United States cannot admit either the in ference or the premises. We steadily deny, that, at the date of the treaty, Great Britain had any possessions there, other than the limited and peculiar establishmet at I he Balize, and maintain that, if she had any, they were surrendered by the convention.This government, recognizing the obli gations of the treaty, has of course desired to see it executed in good faith by both parties, and in tho discussion, therefore has not looked to rights, which we might assert, independently of the treaty, in consideration of our geographical posi'.ion and of other circumstances, which create for us relations to the Central American States, different from those of any government of Europe. The British government, in its last communication, although well knowing the views of tho United States, still declares that it sees no reason why a conciliatory spirit may not enable the two governments to overcome all obstacles to a satisfactory adjustment of the subject. Assured of the correctness of the construction of the treaty constantly adhered to by this government, and resolved to insist on the rights of the United States.yel actuated also by the same desire, which is avowed by the British government, to remove all causes of serious misunderstanding between two nations associated by so many ties of interest and kindred, it has appeared to me proper not to consider an amicable solution of the controversy hopeless.There is, however, reason to apprehend, that, with Great Britain in the actual occupation of the disputed territories, and the treaty therefore practically null, so far as regards our riglus.this international difficulty cannot long remain undetermined, without involving in serious danger the friendly relations, which it is the interest as well as the duty of both countries to cherish and preserve. It will afford me sincere gratification future efforts shall result in the success, anticipated heretofore with more confidence than the aspect of the case permits me now to entertain. RECRUITMENT. One other subject of discussion between the United States and Great Britain has grown out of the attempt, whio.i the exi gencies of the war in which she is engaged with Russia induced her to make, to draw recruits from the United States. It is the traditional and settled policy of the United States to maintain impartial neu trality during tbe wars, which from time to time occur among the great powers of the world. Performing ull tho auties of neutrality towards the respective belligerent states, we mar reasonably expect them not to interfere with our lawful enjoyment of its benefits. Notwithstanding tbe existence of such hostilities, our citizens retain the individual right to continue all their accustomed pursuits, by land or by sea, at home or abroad, subject only to such restrictions in this relation, as the laws of war, the usage of nations, or special treaties, may impose; and it is our sovereign right that our territory and jurisdiction shall not be invaded by either of the beligerent parlies, for the transit of their armies, the operations of their fleets, tbe levy of troops for their service, the filling out of cruisers by or against either, or any ' other act or incident of war. And these undeniable rights of neutrality, individual and national, the United States will under no circumstances surrender. '" i -.- - . - In pursuance of this policy, the laws of me unitea states do not forbid their citizens to sell to. either of the belligerent powers articles, contraband of war, or to lake munitions of war or soldiers on board their f ' L" i " '"-'! i i : -' private ships for transportation; and al though, in so doing, the individual citizen exposes his property or person to some of tbe bazar as ot war, bis acts do not involve any breach of national neutrality, nor of .1 ' 1 ! 1- .1 uieinscives implicate me government. Thus, during the progress of the present war in .uuiupa, uur citizens uuve, witnout national responsibility therefor, sold gunpowder and arms to all buyers, regardless of the destination of those articles. Our merchantmen have been, and still continue to be, largely employed by Great Britain and France, in transporting troops, provisions, and munitions of war to the principal scat of military operations, and in bringing home their sick and wounded soldiers; but such use of our mercantile marine is not interdicted either by the international, or by our municipal law, and therefore docs not compromit our neutral relations with Russia. But our municipal law, in accordance with the law of nations, peremtorily forbids, not only foreigners, tut our own citizens, to fit out, within the limits of the United States, a vessel to commit hostilities against any state with which the United States are at peace, or to increase the torce ot any foreign armed vessel intended tor such hostilities against a friendly Btate Whatever concern may have been felt by either of the belligerent powers lest pri vate armed . cruisers, or other vessels, in the service of one, might be fitted out in the ports of this country to depredate on the property of the other, all such fears have provod to be utterly groundless. Our citizens have been withheld from any such act or purpose by good faith, and by respect for the law. While tho laws of the Union are thus peremptory in their prohibition of the equip ment or armament ot beligerent cruisers in our ports, they provide not less absolutely that no person shall, within the ter ritory or jurisdiction of the United States, enlist or enter himself, or hire or retain another person to enlist or enter himself. or to go beyond the limits or jurisdiction of the United (states with intent to be enlisted or entered, in the service of any foreign state, either as a soldier, or as a marine or seaman on board of any vessel-of-war, letter of marque, or privateer. And these enactments are also in strict conformity with the law of nations, which declares, that no state has the right to raise troops for land or sea service in another state without its consent, and that, whether forbidden by the municipal law or not, the very attempt to do it, without such consent, is an attack on the national sovereignty. Such being the public rights and the municipal law of the United States, no solicitude on the subject was entertained by this government, when, a year since, the British Parliament passed an act to provide for the enlistment of foreigners in the military service of Great Britain. Nothing on the face of the act, or in its public history, indicated that the British government proposed to attempt recruitment in the United States; nor did it ever give intimation of such intention to this government. It was matter of surprise, therefore, to find, subsequently, that the engagement of persons within the United States to proceed to Halifax, in the British province of Nova Scotia, and there enlist in the service of Great Britain, was going on extensively, with little or no disguise. Ordinary legal steps were immediately taken to arrest and punish parlies concerned, and so put an end to acts infringing the municipal law and deg-ratory to our sovtreignty. Meanwhile suitable representations on the subject were addressed to the British government. Thereupon it became known, by the admission of the British government itself, that the attempt to draw recruits from this country originated with it, or at least had its approval and sanction; but it also appeared that the public agents engaged in it had "stringent instructions" not to violate the municipal law of the United States. It is difficult to understand how it should have been supposed that troops could be raised here by Great Britain, without violation of the municipal law. The unmistakable object of the law was to prevent every such act, which, performed, must be either in violation of the law, or in studied evasion of it; and in either alternative, the act done would be alike injurious to the sovereignty of the United Estates. In the meantime, the matter acquired additional importance, by the recruitments in the United Sates not being discontinued, and tho disclosure of the fact that they were prosecuted upon a systematic plan devised by official authority; that recruiting rendezvous had. been opened in our prin cipal cities, and depots for the reception of recruits established on our frontier; and the whole business conducted under the supervision and by the regularco-operation of British officers, civil and military, some in the United States. The complicity of those officers in an undertaking.which could only be accomplished by defying our laws, throwing suspicion over our attitude of neutrality, and disregarding our territorial rights, is conclusively proved by the evidence elicited dn the trial of such of their agents as have been apprehended and convicted. Some of the officers thus implicated are of high official position, and many of them beyond our jurisdiction, so that legal proceedings could not reach the source of the mischief. These considerations, and the fact, that the cause of complaint was not a mere casual occurrence, but a deliberate design, entered upon with full knowledge of our laws and national policy, and conducted by responsible public functionaries, impelled me to present the case to the British government, in order to secure, not only a cessation of the wrong, but its reparation. The subject is still under discussion, the result of which will be communicated to you in due time. ' ; i , ' ' , , British relations continued.' I repeat tbe recommendation submitted to the last Congress, that provision be nude for the appointment of a commissioner, in connexion with Great Britain, to sur vey and establish the boundary line, which divides the Territory of Washington from the contiguous British pusessioos. By reason of, the extent add importance of the . a'"VVi'0 v'.vtfjai '' ii'l .:i country in dispute, there has been immi nent dantror of collision between the sub jocts of Great Britain and the citizens of the United States, including their respective authorities in that quarter. Tho prospect of a speedy arrangement has contributed hitherto to induco on both sides forbearance to assert by force what eaoh claims as a right. Continuance of delay on the part of the two governments to act in the matter will increase the dangers and difficulties of the controversy. Misunderstanding exists as to the extent, character, and value of the possessory rights of the Hudson's Bay Company and tho property of the Puget's Sound Agricultural Company, reserved in our treaty with Great Britain relative to the Territory of Oregon. I have reason to believe that a cession of the rights of both companies to the United States, which would be the readiest means of terminating all questions, can oe ootainea on reasonaDie terms; and, with a view to this end, I present the sub ject to the attention of Congress. The colony ot .Newfoundland, bavins en acted the laws required by the treaty of tne otn oi June, moi, is now placed on the same footing, in respect to commercial intercourse with the United States, as the other British North American provinces. The commission, which that treaty con templated, for determining the rights of bshery in rivers and mouths of rivers on the coasts of the United States and the British North American provinces, has been organized and has commenced its labors: to complete which there is needed further appropriations for the service of another season. SOUND DUES. In pursuance of the authority, conferred by a resolution of tho Senate of the United States passed on the 3J of March last, notice was given to Denmark, on the 14th day of April, of the intention of this erov- ernment to avail itself of the stipulation of mo quujiqiiujj uuiircuuuu ui irieousnip, commerce, and navigation between that Kingdom and the United States, whereby either party might, after ten years, terminate tbe same at the expiration of one year from the date of notice for that purpose. The considerations, whiuh led me to call the attention of Congress to that convention and induced the Senate to adopt the resolution referred to, still continue in full force. The convention contains an article, which, although it does not directly engage the United Slates to submit to the imposition of tools on the vessels and caigoes of Americans passing into or from the B iltic sea, during the continuance of the treaty, yet may, by possibility, be construed as implying such submission. The exaction of those tools not being justified by any principle of international law, it became the right and the duty of the United States to relieve themselves from the implication of engagement on tne guuj jet, so as to oe perfectly free to act in the premises in such way as their public interests and honor shall demand. I remain of the opinion that the United States ought not to submit to the payment of the Sound dues, not so much because of their amount, which is a secondary matter, but because it is in effect the recognition of the right of Denmark to treat one of the great maritime highways of nations as a close sea, and the navigation of it as a privilege for which tribute may be imposed upon them who have occasion to use it. This government, on a former occasion not unlike the present, signalized its determination to maintnin the freedom of the seas, and of the great natural channels of navigation. Tho Burbary States had, for a long time, coerced the payment of tribute from all nations, whose ships frequented the Mediterranean. To the last demand of such payment made by them, the United States, although suffering less by their depredations than many other nations returned the explicit answer, that we preferred war to tribute and thus opened the way to the relief of the commerce of the world from an ignominious tax, so long submitted to by the more powerful nations of Europe. If the mariner of payment of the Sound dues differ from that of the tribute formerly conceded to the Barbnry States, still their exaction by Denmark has no bettt-r foundation in right. E.ich was, in its origin, nothing but a tax on a common natural right, extorted by those, who were at that time able to obstruct the free and secure enjoyment of it, but who no longer possess that power. Denmark, while resisting our assertion of the freedom of the B.tltic Sound and Belts, has indicated a readiness to make somo new arrangement on the subject, and has invited the governments interested, including the United S.ates, to be represented in a convention to assemble for the purpose of receiving and considering a proposition, which she intends to submit, for the capitalization of the Sound dues, and the distribution of the sum to be paid as commutation among the governments, according to the respective proportions of their maritime commerce to and from the Baltic. I have declined in behalf of the United States to accept this invitation, for the moit cogent reasons. One is, that Denmark does not offer to submit to the convention the question of her right to levy the Sound dues. A second is, that, if the convention were allowed to take conixince of that particular question, still it would not be competent to deal with the great international principle involved which effects the right in other cases of navigation and commercial freedom, as well as that of access to the Baltic. Above all, by the express terms of the proposition it is contemplated, that the consideration of the Sound dues shall be commingled with, and made subordinate to, a matter wholly extraneous, the balanoe of power among the governments ot Europe. While, however, rejecting this proposition, and insitt ng on the right of free transit into and from the Baltic, I. have expressed to Denmark a willingness, on the part of the United Stales, to share liberally with other powers in compensating her for any advantages, which commerce shall hereafter derive from expenditures made ! .-il c-"J titt ). ' i. .. ;.n v by her for the improvement and safety of the navigation of the Sound or Belts. I lay before you, her jwith, sundry documents on tho subject, in which my views are more fully disclosed. Should no satisfactory arrangement be soon concluded, I shall again call your attention to tho sub ject, with recommendation of such measures as may appear to be required in order to assert and secure the rights of the United States, so far as they are affected by the pretensions of Denmark. FRANCE. I announce with much gratifica'ion, that since the adjournment of the last Congress, the question, then existing between this government and that of France, respecting the French consul at San Francisco, has been satisfactorily determined, and that the relations of the two governments continue to be of the most friendly nature. GREECE. A question, also, which has been Bend ing for several years between the United States and the Kingdom of Greece, growing out of the sequestration, by public authorities of that country, of property belonging to the present American consel at Athens, and which had been the subject of very earnest discussion heretofore, has recently been settled to -the satisfaction of the party interested and of both governments. SPAIN. With Spain, peaceful relations are still maintained, and some progress has been made in securing the redres3 of wrongs complained of bythis government. Spain has not only disavowed and disapproved the conduct of the officers, who illegally seized and detained the steamer Black Warrior at Havana, but has also paid the sum claimed as indemnity for the loss thereby inflicted on citizens of the United States. In consequence of a destructive hurricane, which visited Cuba in 1844, the preme authority of that island issued a decree, permitting the importation, for the period of six months, of certain building material and provisions, free of duty, but revoked it when about half the period only had elapsed, to the injury of citizens of the United States, who had proceeded to act on the faith of that decree. The Spanish government refused indemnification to tho parties aggrieved until recently, when it was assented to, payment being promised to be made so soon as the amount due can be ascertained. Satisfaction claimed for the arrest and search of the steamer El Dorado has not yet been accorded, but there is reason to believe that it will be, and that caso, with others, continues to be urged on the attention of the Spanish government. I do not abandon the hope of concluding with Spain some general arrangement, which, if it do not wholly prevent the recurrence of difficulties in Cuba, will render them less fre quent, and whenever they shall occur fa cilitate tbetr more speedy settlement. MEXICO. The interposition of this government has oeen invoked by many of its citizens, on account of injuries done to their persons and property, for which the Mexican republic is responsible. The unhappy situation of that country, for some time past, has not allowed its government to give due consideration to claims of piivate repara-ration, and has appeared to call for and justify some forbearance in such matters on the part of this government. But, if tne revolutionary movements, which have lately occurred in that republic, end in the organization of a stable government, urgent appeals to its justice will then be made, and, it may be hoped, with success, for the redress of all complaints of our citizens. CENTRAL AMERICA. In regard to the American republics, which, from their proximity and other considerations, have peculiar relations to this government, while it has becen my constant aim strictly to observe all the obligations of political friendship and of good neighborhood, obstacles to this have arisen in some of them, from their own insufficient power to check lawless irruptions, which in effect throws most of the task on the United Stales. Thus it is that the distracted internal condition of the State of Nicaragua has made it incumbent on me to appeal to the good faith of our citizens to abstain from unlawful intervention in its affairs, and to adopt preventive measures to tho same end, which, on a similar occasion, had the best results in reassuring the peace of the Mexican Slates of Sonora and Lower California. TREATIE9. Since the last session of Congress a treaty of amity, commerce, and navigation, and for the surrender of fugitive criminals, with the kingdom of the Two Sicilies; a treaty of friendship, commerce, and navi-' gation with Nicaragua; and a convention of commercial reciprocity with the Ha-waiian kingdom, have been negotiated. The latter kingdom and the Stale of Nicaragua have also acceded to a declaration, recognising as international rights the principles contained in the convention between the United States and Russia of the 22J of July 1854. These treaties and conventions will be laid before the Senate for ratification. TREASURE The statements made, in my last annual message, respecting the anticipated receipts and expenditures of the Treasury, have been substantially verified. It appears from the report of the Secretary of the Treasury, that the receipts during the last fiscal year ending June 30, 1855, from all sources, were sixty -five million three thousand nine hundred and thirty dollars; and that the publio expenditures for tbe same period, exclusive of pay. ments on account of the public debt.amount-ed to fifty-six million three hundred and sixty five thousand three hundred andninety-three dollars. During the same period, the payments made in redemption of the publio debt, including interest and premium, amounted to nine million eight hundred and forty-four thousand five hundred and twenty-eight dollars. : ' ' The balance in the Treasury at the beginning of the present fiscal year, Jaly 1, 1U65, was eighteen million nine hundred and thirty-one thousand nine hundred and seventy-six dollars; the receipts for the I first quarter, snd tho estimated receipts for ttha rnmnlninff (lirpn.niinrtpra imnnnl in. - - a -i '""mv, w- gether, to sixty-seven million nine hundred and eighteen thousand seven hundred and thirty -four dollars; thus affording in all, as the available resources of the current fis cal year, the sum of eighty-six million eight hundred and fifty-six thousand seven hundred and ten dollars. If, to the actual expenditures of the first quarter of tbe current fiscal year, be added the probable expenditures for tho remaining three quarters, as estimated by the Secretary of the Treasury, the sum, total will be seventy-one million two hundred and twenty-six thousand eight hundred and forty-six dollars, thereby leaving an estimated balance in the treasury on July 1, 1856, of fifteen million six hundred and twenty-three thousand eight hundred and sixty-three dollars and forty-one cents. In the above estimated expenditures of the present hscal year are included three million dollars to meet the last installment of the ten millions provided for in the late treaty with Mexico, and seven million seven hundred and fifty thousand dollars appropriated on account of the debt due to Texas, which two sums make an aggregate amount of ten million seven bundled and fifty thousand dollars, and reduce the expenditures, actual or estimated, for ordinary objects of the year, to the sum of sixty millti n four hundred and seventy-six thousand dollars. The amount of the public debt, at the commencement of the present fiscal year, was forty million five hundred and eighty-Ihree thousand six hundred and thirty-one dollars, and, deduction being made of subsequent payments, the whole public debt of the federal government remaining at this lime is less than forty million dollars. The remnant of certain other government stock, amounting to two hundred and forty-three thousand dollars, referred to in my last message as outstanding, has since been paid. I am fully persuaded that it would be difficult to devise a system superior to that, by which the hscal business ot the government is now conducted. Notwithstanding tho great number of publio agents of collection and disbursement, it is believed that the checks and guards provided, including the requirement of monthly returns render it scarcely possible for any considerable fraud on the part of those agents, or neglect involving hazard of serious publio loss, to escape detection. I renew, however, the recommendation, heretofore made by me, of the enactment of a law declaring it felony on the Dirt of oublic offi cers to insert' false entries in their books of record or , account, or to make false returns and also requiring them on the delermina tion of their service to deliver to their sue cessors all bookj, records, and other ob jects of a public nature in their custody. Derived as our publio revenue is. in chief part, trom duties on imports, its magnitude affords gratifying evidence of the prosperity, not only of our commerce, but of the other great interests upon which that depends.The principle that all moneys not required for the current expenses of the government should remain for active employment in the hands of the people, and the conspicuous fact that the annual revenue from all sources exceeds, by many millions of dollars, the amount needed for a prudent and economical administration of public affairs, cannot fail to suggest the propriety of an early revision and reduction of the tariff of duties on imports. It is now so generally conceded that the purpose of revenue alone can justity the imposition of duties on imports, that in readjusting the impost tables and schedules, which unquestionable require essential modifications a departure from the principles of the present tariff is not anticipated. ARMY. The army during the past year, has been actively engaged in defending the In-diany frontier, the state of the service permitting but few and small garrisons in our permanent fortifications. The additional regiments authorized at the last session of Congress have been recruited and organized, and a largo portion of the troops have already been sent to the field. All the duties, which devolve on the military establishment, have been satisfactorily performed, and the dangers and privations incident to the character of the service required of our troops have furnishec' additional evidence of their courage, z.'al, and capacity to meet any requisition, which their couniry may make upon them. For the details of the military opera ions, the distribution of the troops, snd additional provisions required for the military service, I refer to the report of the Secretary of War and the accompanying documents. Experience, gathered from events which have transpired since my last annual message, bus hut served to confirm the opinion then expressed of the propriety of making provision, by a retired list, for disabled officers, and for increased compensation to tho officers retained on the list for active duty. All the reasons which existed, when these measures were commenced on form er occasions, continue without modification except so far as circumstances have given to some of them additional force. ' The recommendations, heretofore made for a partial reorganization of the army, are also renewed. The thorough elementary education given to those officers, who commence their service with the grade of cadet, quaiibes them, to a considerable extent, to perform the duties of every arm of lue service; uui to give insuiguesi-euicien-cy to artillery requires the practice and special study of many years; and it is not, therefore, believed to be advisable to maintain, in time of peace, a larger force of that arm than can be usually employed in the duties appertalnint; to tbe service of field and siege artillery. The duties of the staff in alt its various branches belong to the movements Of troops, and the efficiency 'of an army in the field would materially depend upon the ability with whiuh, those duties are discharged.' It is not, as in the ease of the artillery, a speciality, but re quires, also, an intimate knowledge of the dulies of a:i officer of the line, and it is not ' doubted that, to complete the education of ' an officer for either the line or the general staff, it is desirable that be shall have ser ved in both. With this view, it was reo-, ommended on a former occasion that the , dulies of the staff should be mainly perform- ' ed by details from the lino; and, with conviction of the advantages which would re- ' suit from such a change, it is again presen- ' ' ted for the consideration of Congress, , , . NAW. The report of the Secretary of the Navy, herewith submitted, exhibits in full the naval operations of the past year, together with the present condition of the service and it makes suggestions of further legis-, lation, to which your attention is invited. Tho construction of the six steam frig-ates, for which appropriations were made by the last Congress, has proceeded in the most satisfactory manner, and with such expedition, as to warrant the belief that they will be ready for service early in the coming spring. Important as this addition to our naval force is, it still remains inadequate to the contingent exigencies of the-protection of the extensive sea coast and vast commercial interests of the United States. In view of this fact, and of the ac knowledged wisdom of the policy of a grad- ual and systematic increase of tbe navy.an appropriation is recommended for the con- ; struction of six steam sloops-of-war. in regard to the sleps taken in execution of tbe net of Congress to promote the efficiency of the navy, it is unnecessary for me to say more than to express entire concurrence in the observations on that sub ject presented by the Secretary in his re port. POST OFFICE. It will be perceived, by the report of the Postmaster General, that the gross expen diture of the department for the last fiscal year was nine million nine hundred and sixty-eight thousand three hundred and forty-two dollars, and the cross receipts seven million three hundred and forty-two thousand one hundred and thirty-six dollars, making an excess of expenditure over receipts of two million six hundred and twenty-six thousand two hundred and six dollars; and that the coat of mail transportation during that year was six hundred and seventy-four thousand nine hundred ' and fifty-two dollars greater than the previous year. Much of the heavy expenditures, to which the Treasury is thus subjected, is to be ascribed to the large quantity of printed matter conveyed by the mails; either franked, or liable to no postage by law, or to very low rates of postage com- pared with that charged on letters; and to ' the great cost of mail service on railroads and by ocean steamers. The suggestions ' of the Postmaster General on the subject 1 deserve the consideration of Congress. INTERIOR. Tho report of the Secretary of the Interior will engage your attention, as well for useful sug-' gestiuns it contains, as for the interest and im-; portauce of the subjects to which they refer. The aggregate amount of public land sold during tlia last liacal year, located with military ; scrip or land warrants, taken up under grants for roads, and selected as swamp lands by States, is twenty-four million live hundred and fifty-seven thousand four hundred and nine acres; ot which tho portion sold was fifteen million seven hun-' dred aud twenty-nine thousand five hundred and twenty four acres, yielding in receipts the sum of eleven million four hundred and eighty-five tbou- sand three hundred and eighty dollars. In the same period of time, eight million seven hundred and twenty-three thousand eight hundred and fifty-four acres havo been surveyed; but, in con-' sidcration nf the quantity already subject to entry, no additional tracts have been brought into market. 4 Tho peculiar relation of the general government to the District of Columbia renders it proper to commend to your care not only its material but also its moral interests, including education, more especially in those parts of the district ' outside of tbe cities of Washington and Georgetown.The commisioners appointed to revise and codify the laws of tho District have made such progress in tho performance of their task, as to insure its completion in tho time prescribed by the act of Congress. Information has recently been received, that tho peace of the settlements in tbe Territories of Oregon and Washington is disturbed by hostilities on tho part of the Indians, with indications of extensive combinations of a hostile character among tho tribes in that quarter, the more serious in their possiblo effect by reason of the undetermined foreign interests existing in thoso Territories, to which your attention has already been especially invited. Ellicient measures have been taken, which, it is believed, will restore quiet, aud afford protection to our citizens. In tho Territory of Kansas, there have been acts prejudicial to good order, but as yet none have occurred under circumstances to justify the interposition of tbe federal Executive. That could only be in case of obstruction to federal law, or of organized resistance to territorial law, assuming tbe character of insurrection, which, if it should occur, it would be my duty promptly to overcome and suppress. I cherish the hope,, however, that tbe occurrence of any such nntcc ward event will be prevented by the sound sense of the people of the Territory,'who, by its organic law, possessing tho right to determine their own domestic institutions, are entitled, while deporting themselves peacefully, to tho free exer-ciso of that right, and must bo protected in the enjoyment of it, without interference on the part of tho citizens of any of tbe States. - The southern boundary line of this Territory has never been surveyed and established. Tbe rapidly-extending settlements in that region, and the met that tho main routo between Independence, in the State of Missouri, and New Mexico, is contiguous to this line, suggest the probability that ebarrassing questions of jurisdiction may consequently arise. For these aud other considerations, I commend tbe subject to your early attention. - . .. 1 CONSTITUTIONAL THE0HY OF THE GOVERNMENT. I hare thus passed id review the general state of the Union, lccluding such particular concerns of the federal government, whether of domettia or forelgil relation, as it appeared to me desirable and useful to bring to the special notice of Con- - T 1 : 1. - 1 . . . r t . Asia, and many of those of America, these United States are wasting their strength neither in foreign war nor domestic strife. Whatever of discontent or publio dissatisfaction' exists, is at tribntable to the imperfections of bomaa pature, prfFss. 1 . 1 1 1 h n inn irnniE nuiipw nt nmn. ani i or is incident to all governments, however perfect, which human wisdom can devise. Snob subjects of political agitation, as occupy the public mind, Ovists, to a great extent, of ' exng(tration of inevitable evils, or ovef teal in social improve mont, or mere imagination of grievance, haring bat remote connexion with any of the constit -.t'vl Concluded ca Fourth Pg.l ' u ' : .' II ) ! .' f ;! ' '..",4 t ),;;, "f T 1 ,V

. .. - "J 'if , VOL. II, MOUNT VERNON, OHIO, TUESDAY MORNING, JANUARY 15, 1856. NO. 9. v li mm riiL Kvwivw J. PRESIDENT'S MESSAGE Fellow cithens of the Senate and ' of the Houst of Representatives: ' The constitution of the United Slates provides that Congress shall assemble an nually on the first Monday of December, and it has been usual for the President to make no communication of a publio char' acter to the Senate and House of llepre sentatives until advised of their readiness to receive it. I have deferred this usage until the close of the first month of the session, but my convictions of duty will not' permit me longer to postpone the dis charge ot the obligation enjoined by the constitution upon the President "to give to the Congress information of tho state of the Union, and recommend to their consideration such measures as he shall judge necessary and expedient." It is matter of congratulation that the Kepublio is tranquilly advancing in a ca reer of prosperity and peace. FOEEIQN RELATIONS. CENTRAL AMERICA. Whilst relations of amity continue to ex ist between the United States and all foreign powers, with some of them grave questions are depending, which may require the consideration of Congress. Of such questions the moet important is that, which has arisen out of the negotiations with Great Britain in reference to Central America. . By the convention concluded between the two governments on the 19th of April, 1850, both parties covenanted, that "neither will ever" "occupy, or fortify, or colonize, or assume or exercise any dominion over, Nicaragua, Costa Rica, the Mosquito Coast, or any part of Central America. It was the undoubted understanding of the United States, in making this treaty, that all the present States of the former republic of Central America, and the entire territory of each, would thenceforth enjoy complete independence; and that both contracting panics engaged equally, and to the same extent, for the present and for the future; that if either then had any claim of right in Central America, such claim, and all occupation or authority under it, were unreservedly relinquished by the slipu'alions of the convention; and that no dominion was thereafter to be exercised or assumed in any part of Central America, by Great Britain or the United States. ' This government consented to restrictions in regard to a region of country, wherein we had specific and peculiar intes-ests, only upon the conviction that the like restrictions were in the same sense obligatory on Great Britain, But for this understanding of the force and effect of the convention, it would never have been concluded by us. ' So clear was this understanding on the part of the United Stattcs, that, in correspondence contemporaneous with the ratification of the convention, it was distinctly expressed, that the mutual covenants of non-occupation were not intended to apply to the British i stablishment at the Balize. The qualification is to be ascribed to the fact, that, in virtue of successive treaties with previous sovereigns of the country, Great Britain bad obtained a concession of the right to cut mahogany or dye-woods at the Balize, but with positive exclusion of all domain or sovereignty; and thus it confirms the natural construction and understood import of the treaty as to all the rest of the region to which the stipulations applied. It. however, became apparent, at an early day after entering upon the discharge of my present functions, that Great Britain stil continued in the exercise or assertion of large authority in all that part of Central America commonly called the Mosquito coast, and covering the entire length of the State of Nicaragua, and a part of Costa Rica; that she regarded the Balize as Ler absolute domain, and was gradually extending its limits at the expense of the State of Honduras; and that she had formally colonized a considerable insular group known as the Bay Islands, and belonging, of right, to that State. All these acts or pretensions of Great Britain, being contrary to the rights of the States of Central America, and the manifest tenor of her stipulations with the United States, as understood by this Government, have been made the subject of negotiation through the American Minister in London. I transmit herewith the instructions to him on the subject, and the correspondence between him and the British Secretary for Foreign Affairs, by which you will perceive that the two governments differ widely and irreconcilesbly as to the construction of the convention, and its ef- ' feet on their respective relations to Central America. Great Britain so construes the Convention, as to maintain unchanged all her pre- - vious pretensions over the Mosquito coast, ' and in different parts of Central America. , These pretensions, as to the Mosquito coast, are founded on the assumption of . political relation between Urcat Britain ana the remnant of a tribe of Indians on that -. coast, entered into at a lime when the whole country was a colonial possession of Spain, it cannot be successfully eontro-verted, thatby the pnbllo law of Europe , and America, no possible act of such Indians or their predecessors could confer on Great Britain any political rights. Great Britain does not allege the assent of Spain as the origin of her claims on the ' Mosquito coast. ' She has, on the contra-" Vf, by repeated and successive treaties, 'j renounced and relinquished all pretensions of her own, and recognhed the full and 't sovereign rights of Spain In the. most un-.", equivocal terms. Yet these pretensions, ;. so without solid foundation in the begin- ning, and thus repeatedly abjured, were, ''. ' at a recent period, revived by Great Brit-' ' ain against the Central American States, ;'.' the legitimate successors to all the ancient "' jurisdiction of Spain in that region. They j., were first applied only to a defined part of rthe coast of Nicaragua, afterwards to the - whole of its Atlantic coast, and lastly to a ' part of the cOsst of Costa Rica; and they ' are bow reasserted to this extent, notwith-"; standing engagements to the Uni'ed 8tates. . On the eastern coast of Nicaragua and , r,::'?i i.'r,"-i''. i'-:'.-.'.i i.-i;'-. 1 Costa Rica, the interference of Great Brit ain, though exerted at one time in the form of military occupation of the port of can junn aei none, then in tbe peaceful possession of the appropriate authorities of tne (Jentral American States, is now presented by her as the rightful exercise of a protectorship over the Mosquito tribe of Indians. But the establishment at the Balize, now reaching far beyond its treaty limits into the State of Honduras, and that of the Bay Islands, appertaining of right to the same State, are as distinctly colonial governments as those of Jamaica or Canada, and therefore contrary to the very letter as well as the spirit of the convention with the United States, as it was at the time of ratification, and now is, understood by this government. The interpretation which the British government, thus in assertion and act, persists in ascribing to the convention, entirely changes its character. While it holds us to all our obligations, it in a great measure releases Great Britain from those, which constituted the consideration of this government for entering into the Convention. It is impossible, in my judgment, for the United States to acquiesce in such a construction of the respective relations of the two governments to Central America.To a renewed call by this government upon Great Britain, to abide by, and carry into euect, tne stipulations ot tne convention according to its obvious import, by withdrawing from the possession or coloni zation of portions of the Central American States of Honduras, Nicaragua, and Costa Rica, the British Government has at length replied, affirming that the operation of the treaty is prospective only, and did not require Great Britain to abandon or contrast any possessions held by her in Central A- merica at the date ot its conclusion. This reply substitutes a partial issue, in the place of the general one presented by the United States. The British government passes over the question of the rights of Great Britain, real or supposed, in Cen tral America, and assumes that she had such rights at the date of the treaty, and that (hose rights comprehended the protectorship of the Mosquito Indians, the extended jurisdiction and limits of the Balize, and the colony of the Bay Islands, and thereupon proceeds by implication to infer, that, if the stipulations of the treaty be merely future in effect, Great Britain miy still continue to hold the contest ed portions of Central America. The United States cannot admit either the in ference or the premises. We steadily deny, that, at the date of the treaty, Great Britain had any possessions there, other than the limited and peculiar establishmet at I he Balize, and maintain that, if she had any, they were surrendered by the convention.This government, recognizing the obli gations of the treaty, has of course desired to see it executed in good faith by both parties, and in tho discussion, therefore has not looked to rights, which we might assert, independently of the treaty, in consideration of our geographical posi'.ion and of other circumstances, which create for us relations to the Central American States, different from those of any government of Europe. The British government, in its last communication, although well knowing the views of tho United States, still declares that it sees no reason why a conciliatory spirit may not enable the two governments to overcome all obstacles to a satisfactory adjustment of the subject. Assured of the correctness of the construction of the treaty constantly adhered to by this government, and resolved to insist on the rights of the United States.yel actuated also by the same desire, which is avowed by the British government, to remove all causes of serious misunderstanding between two nations associated by so many ties of interest and kindred, it has appeared to me proper not to consider an amicable solution of the controversy hopeless.There is, however, reason to apprehend, that, with Great Britain in the actual occupation of the disputed territories, and the treaty therefore practically null, so far as regards our riglus.this international difficulty cannot long remain undetermined, without involving in serious danger the friendly relations, which it is the interest as well as the duty of both countries to cherish and preserve. It will afford me sincere gratification future efforts shall result in the success, anticipated heretofore with more confidence than the aspect of the case permits me now to entertain. RECRUITMENT. One other subject of discussion between the United States and Great Britain has grown out of the attempt, whio.i the exi gencies of the war in which she is engaged with Russia induced her to make, to draw recruits from the United States. It is the traditional and settled policy of the United States to maintain impartial neu trality during tbe wars, which from time to time occur among the great powers of the world. Performing ull tho auties of neutrality towards the respective belligerent states, we mar reasonably expect them not to interfere with our lawful enjoyment of its benefits. Notwithstanding tbe existence of such hostilities, our citizens retain the individual right to continue all their accustomed pursuits, by land or by sea, at home or abroad, subject only to such restrictions in this relation, as the laws of war, the usage of nations, or special treaties, may impose; and it is our sovereign right that our territory and jurisdiction shall not be invaded by either of the beligerent parlies, for the transit of their armies, the operations of their fleets, tbe levy of troops for their service, the filling out of cruisers by or against either, or any ' other act or incident of war. And these undeniable rights of neutrality, individual and national, the United States will under no circumstances surrender. '" i -.- - . - In pursuance of this policy, the laws of me unitea states do not forbid their citizens to sell to. either of the belligerent powers articles, contraband of war, or to lake munitions of war or soldiers on board their f ' L" i " '"-'! i i : -' private ships for transportation; and al though, in so doing, the individual citizen exposes his property or person to some of tbe bazar as ot war, bis acts do not involve any breach of national neutrality, nor of .1 ' 1 ! 1- .1 uieinscives implicate me government. Thus, during the progress of the present war in .uuiupa, uur citizens uuve, witnout national responsibility therefor, sold gunpowder and arms to all buyers, regardless of the destination of those articles. Our merchantmen have been, and still continue to be, largely employed by Great Britain and France, in transporting troops, provisions, and munitions of war to the principal scat of military operations, and in bringing home their sick and wounded soldiers; but such use of our mercantile marine is not interdicted either by the international, or by our municipal law, and therefore docs not compromit our neutral relations with Russia. But our municipal law, in accordance with the law of nations, peremtorily forbids, not only foreigners, tut our own citizens, to fit out, within the limits of the United States, a vessel to commit hostilities against any state with which the United States are at peace, or to increase the torce ot any foreign armed vessel intended tor such hostilities against a friendly Btate Whatever concern may have been felt by either of the belligerent powers lest pri vate armed . cruisers, or other vessels, in the service of one, might be fitted out in the ports of this country to depredate on the property of the other, all such fears have provod to be utterly groundless. Our citizens have been withheld from any such act or purpose by good faith, and by respect for the law. While tho laws of the Union are thus peremptory in their prohibition of the equip ment or armament ot beligerent cruisers in our ports, they provide not less absolutely that no person shall, within the ter ritory or jurisdiction of the United States, enlist or enter himself, or hire or retain another person to enlist or enter himself. or to go beyond the limits or jurisdiction of the United (states with intent to be enlisted or entered, in the service of any foreign state, either as a soldier, or as a marine or seaman on board of any vessel-of-war, letter of marque, or privateer. And these enactments are also in strict conformity with the law of nations, which declares, that no state has the right to raise troops for land or sea service in another state without its consent, and that, whether forbidden by the municipal law or not, the very attempt to do it, without such consent, is an attack on the national sovereignty. Such being the public rights and the municipal law of the United States, no solicitude on the subject was entertained by this government, when, a year since, the British Parliament passed an act to provide for the enlistment of foreigners in the military service of Great Britain. Nothing on the face of the act, or in its public history, indicated that the British government proposed to attempt recruitment in the United States; nor did it ever give intimation of such intention to this government. It was matter of surprise, therefore, to find, subsequently, that the engagement of persons within the United States to proceed to Halifax, in the British province of Nova Scotia, and there enlist in the service of Great Britain, was going on extensively, with little or no disguise. Ordinary legal steps were immediately taken to arrest and punish parlies concerned, and so put an end to acts infringing the municipal law and deg-ratory to our sovtreignty. Meanwhile suitable representations on the subject were addressed to the British government. Thereupon it became known, by the admission of the British government itself, that the attempt to draw recruits from this country originated with it, or at least had its approval and sanction; but it also appeared that the public agents engaged in it had "stringent instructions" not to violate the municipal law of the United States. It is difficult to understand how it should have been supposed that troops could be raised here by Great Britain, without violation of the municipal law. The unmistakable object of the law was to prevent every such act, which, performed, must be either in violation of the law, or in studied evasion of it; and in either alternative, the act done would be alike injurious to the sovereignty of the United Estates. In the meantime, the matter acquired additional importance, by the recruitments in the United Sates not being discontinued, and tho disclosure of the fact that they were prosecuted upon a systematic plan devised by official authority; that recruiting rendezvous had. been opened in our prin cipal cities, and depots for the reception of recruits established on our frontier; and the whole business conducted under the supervision and by the regularco-operation of British officers, civil and military, some in the United States. The complicity of those officers in an undertaking.which could only be accomplished by defying our laws, throwing suspicion over our attitude of neutrality, and disregarding our territorial rights, is conclusively proved by the evidence elicited dn the trial of such of their agents as have been apprehended and convicted. Some of the officers thus implicated are of high official position, and many of them beyond our jurisdiction, so that legal proceedings could not reach the source of the mischief. These considerations, and the fact, that the cause of complaint was not a mere casual occurrence, but a deliberate design, entered upon with full knowledge of our laws and national policy, and conducted by responsible public functionaries, impelled me to present the case to the British government, in order to secure, not only a cessation of the wrong, but its reparation. The subject is still under discussion, the result of which will be communicated to you in due time. ' ; i , ' ' , , British relations continued.' I repeat tbe recommendation submitted to the last Congress, that provision be nude for the appointment of a commissioner, in connexion with Great Britain, to sur vey and establish the boundary line, which divides the Territory of Washington from the contiguous British pusessioos. By reason of, the extent add importance of the . a'"VVi'0 v'.vtfjai '' ii'l .:i country in dispute, there has been immi nent dantror of collision between the sub jocts of Great Britain and the citizens of the United States, including their respective authorities in that quarter. Tho prospect of a speedy arrangement has contributed hitherto to induco on both sides forbearance to assert by force what eaoh claims as a right. Continuance of delay on the part of the two governments to act in the matter will increase the dangers and difficulties of the controversy. Misunderstanding exists as to the extent, character, and value of the possessory rights of the Hudson's Bay Company and tho property of the Puget's Sound Agricultural Company, reserved in our treaty with Great Britain relative to the Territory of Oregon. I have reason to believe that a cession of the rights of both companies to the United States, which would be the readiest means of terminating all questions, can oe ootainea on reasonaDie terms; and, with a view to this end, I present the sub ject to the attention of Congress. The colony ot .Newfoundland, bavins en acted the laws required by the treaty of tne otn oi June, moi, is now placed on the same footing, in respect to commercial intercourse with the United States, as the other British North American provinces. The commission, which that treaty con templated, for determining the rights of bshery in rivers and mouths of rivers on the coasts of the United States and the British North American provinces, has been organized and has commenced its labors: to complete which there is needed further appropriations for the service of another season. SOUND DUES. In pursuance of the authority, conferred by a resolution of tho Senate of the United States passed on the 3J of March last, notice was given to Denmark, on the 14th day of April, of the intention of this erov- ernment to avail itself of the stipulation of mo quujiqiiujj uuiircuuuu ui irieousnip, commerce, and navigation between that Kingdom and the United States, whereby either party might, after ten years, terminate tbe same at the expiration of one year from the date of notice for that purpose. The considerations, whiuh led me to call the attention of Congress to that convention and induced the Senate to adopt the resolution referred to, still continue in full force. The convention contains an article, which, although it does not directly engage the United Slates to submit to the imposition of tools on the vessels and caigoes of Americans passing into or from the B iltic sea, during the continuance of the treaty, yet may, by possibility, be construed as implying such submission. The exaction of those tools not being justified by any principle of international law, it became the right and the duty of the United States to relieve themselves from the implication of engagement on tne guuj jet, so as to oe perfectly free to act in the premises in such way as their public interests and honor shall demand. I remain of the opinion that the United States ought not to submit to the payment of the Sound dues, not so much because of their amount, which is a secondary matter, but because it is in effect the recognition of the right of Denmark to treat one of the great maritime highways of nations as a close sea, and the navigation of it as a privilege for which tribute may be imposed upon them who have occasion to use it. This government, on a former occasion not unlike the present, signalized its determination to maintnin the freedom of the seas, and of the great natural channels of navigation. Tho Burbary States had, for a long time, coerced the payment of tribute from all nations, whose ships frequented the Mediterranean. To the last demand of such payment made by them, the United States, although suffering less by their depredations than many other nations returned the explicit answer, that we preferred war to tribute and thus opened the way to the relief of the commerce of the world from an ignominious tax, so long submitted to by the more powerful nations of Europe. If the mariner of payment of the Sound dues differ from that of the tribute formerly conceded to the Barbnry States, still their exaction by Denmark has no bettt-r foundation in right. E.ich was, in its origin, nothing but a tax on a common natural right, extorted by those, who were at that time able to obstruct the free and secure enjoyment of it, but who no longer possess that power. Denmark, while resisting our assertion of the freedom of the B.tltic Sound and Belts, has indicated a readiness to make somo new arrangement on the subject, and has invited the governments interested, including the United S.ates, to be represented in a convention to assemble for the purpose of receiving and considering a proposition, which she intends to submit, for the capitalization of the Sound dues, and the distribution of the sum to be paid as commutation among the governments, according to the respective proportions of their maritime commerce to and from the Baltic. I have declined in behalf of the United States to accept this invitation, for the moit cogent reasons. One is, that Denmark does not offer to submit to the convention the question of her right to levy the Sound dues. A second is, that, if the convention were allowed to take conixince of that particular question, still it would not be competent to deal with the great international principle involved which effects the right in other cases of navigation and commercial freedom, as well as that of access to the Baltic. Above all, by the express terms of the proposition it is contemplated, that the consideration of the Sound dues shall be commingled with, and made subordinate to, a matter wholly extraneous, the balanoe of power among the governments ot Europe. While, however, rejecting this proposition, and insitt ng on the right of free transit into and from the Baltic, I. have expressed to Denmark a willingness, on the part of the United Stales, to share liberally with other powers in compensating her for any advantages, which commerce shall hereafter derive from expenditures made ! .-il c-"J titt ). ' i. .. ;.n v by her for the improvement and safety of the navigation of the Sound or Belts. I lay before you, her jwith, sundry documents on tho subject, in which my views are more fully disclosed. Should no satisfactory arrangement be soon concluded, I shall again call your attention to tho sub ject, with recommendation of such measures as may appear to be required in order to assert and secure the rights of the United States, so far as they are affected by the pretensions of Denmark. FRANCE. I announce with much gratifica'ion, that since the adjournment of the last Congress, the question, then existing between this government and that of France, respecting the French consul at San Francisco, has been satisfactorily determined, and that the relations of the two governments continue to be of the most friendly nature. GREECE. A question, also, which has been Bend ing for several years between the United States and the Kingdom of Greece, growing out of the sequestration, by public authorities of that country, of property belonging to the present American consel at Athens, and which had been the subject of very earnest discussion heretofore, has recently been settled to -the satisfaction of the party interested and of both governments. SPAIN. With Spain, peaceful relations are still maintained, and some progress has been made in securing the redres3 of wrongs complained of bythis government. Spain has not only disavowed and disapproved the conduct of the officers, who illegally seized and detained the steamer Black Warrior at Havana, but has also paid the sum claimed as indemnity for the loss thereby inflicted on citizens of the United States. In consequence of a destructive hurricane, which visited Cuba in 1844, the preme authority of that island issued a decree, permitting the importation, for the period of six months, of certain building material and provisions, free of duty, but revoked it when about half the period only had elapsed, to the injury of citizens of the United States, who had proceeded to act on the faith of that decree. The Spanish government refused indemnification to tho parties aggrieved until recently, when it was assented to, payment being promised to be made so soon as the amount due can be ascertained. Satisfaction claimed for the arrest and search of the steamer El Dorado has not yet been accorded, but there is reason to believe that it will be, and that caso, with others, continues to be urged on the attention of the Spanish government. I do not abandon the hope of concluding with Spain some general arrangement, which, if it do not wholly prevent the recurrence of difficulties in Cuba, will render them less fre quent, and whenever they shall occur fa cilitate tbetr more speedy settlement. MEXICO. The interposition of this government has oeen invoked by many of its citizens, on account of injuries done to their persons and property, for which the Mexican republic is responsible. The unhappy situation of that country, for some time past, has not allowed its government to give due consideration to claims of piivate repara-ration, and has appeared to call for and justify some forbearance in such matters on the part of this government. But, if tne revolutionary movements, which have lately occurred in that republic, end in the organization of a stable government, urgent appeals to its justice will then be made, and, it may be hoped, with success, for the redress of all complaints of our citizens. CENTRAL AMERICA. In regard to the American republics, which, from their proximity and other considerations, have peculiar relations to this government, while it has becen my constant aim strictly to observe all the obligations of political friendship and of good neighborhood, obstacles to this have arisen in some of them, from their own insufficient power to check lawless irruptions, which in effect throws most of the task on the United Stales. Thus it is that the distracted internal condition of the State of Nicaragua has made it incumbent on me to appeal to the good faith of our citizens to abstain from unlawful intervention in its affairs, and to adopt preventive measures to tho same end, which, on a similar occasion, had the best results in reassuring the peace of the Mexican Slates of Sonora and Lower California. TREATIE9. Since the last session of Congress a treaty of amity, commerce, and navigation, and for the surrender of fugitive criminals, with the kingdom of the Two Sicilies; a treaty of friendship, commerce, and navi-' gation with Nicaragua; and a convention of commercial reciprocity with the Ha-waiian kingdom, have been negotiated. The latter kingdom and the Stale of Nicaragua have also acceded to a declaration, recognising as international rights the principles contained in the convention between the United States and Russia of the 22J of July 1854. These treaties and conventions will be laid before the Senate for ratification. TREASURE The statements made, in my last annual message, respecting the anticipated receipts and expenditures of the Treasury, have been substantially verified. It appears from the report of the Secretary of the Treasury, that the receipts during the last fiscal year ending June 30, 1855, from all sources, were sixty -five million three thousand nine hundred and thirty dollars; and that the publio expenditures for tbe same period, exclusive of pay. ments on account of the public debt.amount-ed to fifty-six million three hundred and sixty five thousand three hundred andninety-three dollars. During the same period, the payments made in redemption of the publio debt, including interest and premium, amounted to nine million eight hundred and forty-four thousand five hundred and twenty-eight dollars. : ' ' The balance in the Treasury at the beginning of the present fiscal year, Jaly 1, 1U65, was eighteen million nine hundred and thirty-one thousand nine hundred and seventy-six dollars; the receipts for the I first quarter, snd tho estimated receipts for ttha rnmnlninff (lirpn.niinrtpra imnnnl in. - - a -i '""mv, w- gether, to sixty-seven million nine hundred and eighteen thousand seven hundred and thirty -four dollars; thus affording in all, as the available resources of the current fis cal year, the sum of eighty-six million eight hundred and fifty-six thousand seven hundred and ten dollars. If, to the actual expenditures of the first quarter of tbe current fiscal year, be added the probable expenditures for tho remaining three quarters, as estimated by the Secretary of the Treasury, the sum, total will be seventy-one million two hundred and twenty-six thousand eight hundred and forty-six dollars, thereby leaving an estimated balance in the treasury on July 1, 1856, of fifteen million six hundred and twenty-three thousand eight hundred and sixty-three dollars and forty-one cents. In the above estimated expenditures of the present hscal year are included three million dollars to meet the last installment of the ten millions provided for in the late treaty with Mexico, and seven million seven hundred and fifty thousand dollars appropriated on account of the debt due to Texas, which two sums make an aggregate amount of ten million seven bundled and fifty thousand dollars, and reduce the expenditures, actual or estimated, for ordinary objects of the year, to the sum of sixty millti n four hundred and seventy-six thousand dollars. The amount of the public debt, at the commencement of the present fiscal year, was forty million five hundred and eighty-Ihree thousand six hundred and thirty-one dollars, and, deduction being made of subsequent payments, the whole public debt of the federal government remaining at this lime is less than forty million dollars. The remnant of certain other government stock, amounting to two hundred and forty-three thousand dollars, referred to in my last message as outstanding, has since been paid. I am fully persuaded that it would be difficult to devise a system superior to that, by which the hscal business ot the government is now conducted. Notwithstanding tho great number of publio agents of collection and disbursement, it is believed that the checks and guards provided, including the requirement of monthly returns render it scarcely possible for any considerable fraud on the part of those agents, or neglect involving hazard of serious publio loss, to escape detection. I renew, however, the recommendation, heretofore made by me, of the enactment of a law declaring it felony on the Dirt of oublic offi cers to insert' false entries in their books of record or , account, or to make false returns and also requiring them on the delermina tion of their service to deliver to their sue cessors all bookj, records, and other ob jects of a public nature in their custody. Derived as our publio revenue is. in chief part, trom duties on imports, its magnitude affords gratifying evidence of the prosperity, not only of our commerce, but of the other great interests upon which that depends.The principle that all moneys not required for the current expenses of the government should remain for active employment in the hands of the people, and the conspicuous fact that the annual revenue from all sources exceeds, by many millions of dollars, the amount needed for a prudent and economical administration of public affairs, cannot fail to suggest the propriety of an early revision and reduction of the tariff of duties on imports. It is now so generally conceded that the purpose of revenue alone can justity the imposition of duties on imports, that in readjusting the impost tables and schedules, which unquestionable require essential modifications a departure from the principles of the present tariff is not anticipated. ARMY. The army during the past year, has been actively engaged in defending the In-diany frontier, the state of the service permitting but few and small garrisons in our permanent fortifications. The additional regiments authorized at the last session of Congress have been recruited and organized, and a largo portion of the troops have already been sent to the field. All the duties, which devolve on the military establishment, have been satisfactorily performed, and the dangers and privations incident to the character of the service required of our troops have furnishec' additional evidence of their courage, z.'al, and capacity to meet any requisition, which their couniry may make upon them. For the details of the military opera ions, the distribution of the troops, snd additional provisions required for the military service, I refer to the report of the Secretary of War and the accompanying documents. Experience, gathered from events which have transpired since my last annual message, bus hut served to confirm the opinion then expressed of the propriety of making provision, by a retired list, for disabled officers, and for increased compensation to tho officers retained on the list for active duty. All the reasons which existed, when these measures were commenced on form er occasions, continue without modification except so far as circumstances have given to some of them additional force. ' The recommendations, heretofore made for a partial reorganization of the army, are also renewed. The thorough elementary education given to those officers, who commence their service with the grade of cadet, quaiibes them, to a considerable extent, to perform the duties of every arm of lue service; uui to give insuiguesi-euicien-cy to artillery requires the practice and special study of many years; and it is not, therefore, believed to be advisable to maintain, in time of peace, a larger force of that arm than can be usually employed in the duties appertalnint; to tbe service of field and siege artillery. The duties of the staff in alt its various branches belong to the movements Of troops, and the efficiency 'of an army in the field would materially depend upon the ability with whiuh, those duties are discharged.' It is not, as in the ease of the artillery, a speciality, but re quires, also, an intimate knowledge of the dulies of a:i officer of the line, and it is not ' doubted that, to complete the education of ' an officer for either the line or the general staff, it is desirable that be shall have ser ved in both. With this view, it was reo-, ommended on a former occasion that the , dulies of the staff should be mainly perform- ' ed by details from the lino; and, with conviction of the advantages which would re- ' suit from such a change, it is again presen- ' ' ted for the consideration of Congress, , , . NAW. The report of the Secretary of the Navy, herewith submitted, exhibits in full the naval operations of the past year, together with the present condition of the service and it makes suggestions of further legis-, lation, to which your attention is invited. Tho construction of the six steam frig-ates, for which appropriations were made by the last Congress, has proceeded in the most satisfactory manner, and with such expedition, as to warrant the belief that they will be ready for service early in the coming spring. Important as this addition to our naval force is, it still remains inadequate to the contingent exigencies of the-protection of the extensive sea coast and vast commercial interests of the United States. In view of this fact, and of the ac knowledged wisdom of the policy of a grad- ual and systematic increase of tbe navy.an appropriation is recommended for the con- ; struction of six steam sloops-of-war. in regard to the sleps taken in execution of tbe net of Congress to promote the efficiency of the navy, it is unnecessary for me to say more than to express entire concurrence in the observations on that sub ject presented by the Secretary in his re port. POST OFFICE. It will be perceived, by the report of the Postmaster General, that the gross expen diture of the department for the last fiscal year was nine million nine hundred and sixty-eight thousand three hundred and forty-two dollars, and the cross receipts seven million three hundred and forty-two thousand one hundred and thirty-six dollars, making an excess of expenditure over receipts of two million six hundred and twenty-six thousand two hundred and six dollars; and that the coat of mail transportation during that year was six hundred and seventy-four thousand nine hundred ' and fifty-two dollars greater than the previous year. Much of the heavy expenditures, to which the Treasury is thus subjected, is to be ascribed to the large quantity of printed matter conveyed by the mails; either franked, or liable to no postage by law, or to very low rates of postage com- pared with that charged on letters; and to ' the great cost of mail service on railroads and by ocean steamers. The suggestions ' of the Postmaster General on the subject 1 deserve the consideration of Congress. INTERIOR. Tho report of the Secretary of the Interior will engage your attention, as well for useful sug-' gestiuns it contains, as for the interest and im-; portauce of the subjects to which they refer. The aggregate amount of public land sold during tlia last liacal year, located with military ; scrip or land warrants, taken up under grants for roads, and selected as swamp lands by States, is twenty-four million live hundred and fifty-seven thousand four hundred and nine acres; ot which tho portion sold was fifteen million seven hun-' dred aud twenty-nine thousand five hundred and twenty four acres, yielding in receipts the sum of eleven million four hundred and eighty-five tbou- sand three hundred and eighty dollars. In the same period of time, eight million seven hundred and twenty-three thousand eight hundred and fifty-four acres havo been surveyed; but, in con-' sidcration nf the quantity already subject to entry, no additional tracts have been brought into market. 4 Tho peculiar relation of the general government to the District of Columbia renders it proper to commend to your care not only its material but also its moral interests, including education, more especially in those parts of the district ' outside of tbe cities of Washington and Georgetown.The commisioners appointed to revise and codify the laws of tho District have made such progress in tho performance of their task, as to insure its completion in tho time prescribed by the act of Congress. Information has recently been received, that tho peace of the settlements in tbe Territories of Oregon and Washington is disturbed by hostilities on tho part of the Indians, with indications of extensive combinations of a hostile character among tho tribes in that quarter, the more serious in their possiblo effect by reason of the undetermined foreign interests existing in thoso Territories, to which your attention has already been especially invited. Ellicient measures have been taken, which, it is believed, will restore quiet, aud afford protection to our citizens. In tho Territory of Kansas, there have been acts prejudicial to good order, but as yet none have occurred under circumstances to justify the interposition of tbe federal Executive. That could only be in case of obstruction to federal law, or of organized resistance to territorial law, assuming tbe character of insurrection, which, if it should occur, it would be my duty promptly to overcome and suppress. I cherish the hope,, however, that tbe occurrence of any such nntcc ward event will be prevented by the sound sense of the people of the Territory,'who, by its organic law, possessing tho right to determine their own domestic institutions, are entitled, while deporting themselves peacefully, to tho free exer-ciso of that right, and must bo protected in the enjoyment of it, without interference on the part of tho citizens of any of tbe States. - The southern boundary line of this Territory has never been surveyed and established. Tbe rapidly-extending settlements in that region, and the met that tho main routo between Independence, in the State of Missouri, and New Mexico, is contiguous to this line, suggest the probability that ebarrassing questions of jurisdiction may consequently arise. For these aud other considerations, I commend tbe subject to your early attention. - . .. 1 CONSTITUTIONAL THE0HY OF THE GOVERNMENT. I hare thus passed id review the general state of the Union, lccluding such particular concerns of the federal government, whether of domettia or forelgil relation, as it appeared to me desirable and useful to bring to the special notice of Con- - T 1 : 1. - 1 . . . r t . Asia, and many of those of America, these United States are wasting their strength neither in foreign war nor domestic strife. Whatever of discontent or publio dissatisfaction' exists, is at tribntable to the imperfections of bomaa pature, prfFss. 1 . 1 1 1 h n inn irnniE nuiipw nt nmn. ani i or is incident to all governments, however perfect, which human wisdom can devise. Snob subjects of political agitation, as occupy the public mind, Ovists, to a great extent, of ' exng(tration of inevitable evils, or ovef teal in social improve mont, or mere imagination of grievance, haring bat remote connexion with any of the constit -.t'vl Concluded ca Fourth Pg.l ' u ' : .' II ) ! .' f ;! ' '..",4 t ),;;, "f T 1 ,V